Truck Rental Market Size, Share, Growth, and Industry Analysis, By Type (Light commercial vehicle & Heavy commercial vehicle), By Application (Commercial use & Personal use), and Regional Forecast to 2033

• 

  Request a Free sample to learn more about this report

TRUCK RENTAL MARKET OVERVIEW

The Truck Rental Market, valued at USD 133.78 billion in 2024, is forecasted to grow consistently, reaching USD 143.15 billion in 2025 and ultimately achieving USD 245.18 billion by 2033, at a steady CAGR of 7%.

Truck rental companies offer people and companies the ability to obtain trucks for short-term usage varying and related to material handling requirements and transport. These services have different categories of vehicles: small pickup trucks that can be used to move furniture or smaller loads, medium and big box trucks that can be used to transport heavy equipment or commercial products, or to conduct full home moving services. Although rental agreements differ in duration, they are usually entered for a short term or for a few hours, a day, a week, or many months. The basic moving package is inclusive of some extensive services, and the customer has the freedom to select commodities like insurance, dollies, hand trucks, and protective covers for furniture, among others, or even specialising in getting a mover’s help. These services are available in offices and over the internet with the possibility for booking and pick up/drop off.

COVID-19 IMPACT

Truck Rental Industry Had a Negative Effect due to Low Personal Moves and Relocations

The global COVID-19 pandemic has been unprecedented and staggering, with the market experiencing lower-than-anticipated demand across all regions compared to pre-pandemic levels. The sudden market growth reflected by the rise in CAGR is attributable to the market’s growth and demand returning to pre-pandemic levels.

This market faced several major problems due to the emergence of COVID-19. The pandemic measures, such as lockdowns and stay-at-home orders, contributed to low personal moves and relocations, which are major indicators of the rental trucks’ demand. The shutting down of businesses and economic instability deteriorated the commercial use of these rentals for operations among industries. Pandemic restrictions of travel and closure of international borders reduced cross-border and long-distance relocation and rental chances. Moreover, concerns of possible cross-contamination heightened cleaning and disinfecting of rental trucks, which also increased costs and may slow more time down for turnaround.

LATEST TREND

Online Platforms to Propel the Market

There are some general trends like the popularity of technology that has made the use of online platforms for booking, mobile applications, and telematics for rental vehicles, real-time tracking, and control of vehicles. Another existing trend is the increasing sales of electric and other company cars, through the influence of ecology and the read more regulation on emissions. This is resulting in the adoption of electric trucks by rent-a-car companies as well as investment in charging. Also, there is an increasing demand for short-term rentals that can be accessed anytime as well as consigned rentals that can be tailored to the needs of clients.

Request a Free sample to learn more about this report

TRUCK RENTAL MARKET SEGMENTATION

By Type

Based on Type, the global market can be categorized into Light commercial vehicle & Heavy commercial vehicle

• Light Commercial Vehicles (LCVs): LCVs typically comprise vans, pick-ups, and small cargo-carrying trucks or vans that have a gross vehicle weight rating of up to 10,000 pounds. Applied for shifting furniture from one place to the other, small cargo, and do-it-yourself home improvement projects. Deliveries, courier services, some small businesses, and service vehicles for tradesmen and tradeswomen.

• Heavy Commercial Vehicles (HCVs): HCVs include medium-duty trucks, heavy-duty vehicles, tractors/heralds, dump trucks, concrete mixer trucks, and all other vehicles with a GVWR of more than 26,000 pounds. In long-haul freight, moving bulk products, construction, equipment transportation, construction, mining, logging, and agriculture.

By Application

Based on application, the global market can be categorized into Commercial use & Personal use

• Commercial Use: Renting trucks is crucial in different business processes such as Transporting goods between production plants, depots, and stores. Final delivery of products ordered online, parcel delivery, food ordering delivery, and deliveries of products and packages for companies, etc. Transferring of material, machinery, and other tools to construction zones.

• Personal Use: The most common type of usage for personal truck rentals is for moving from one house to another, whether within the same state or to another state. Transportation of material for home remodelling or construction and haulage services for landscaping, among others. Option most used for moving large and heavy items, such as furniture, refrigerators, dishwashers, and business machinery, among others, bought from stores or acquired from individuals. 

MARKET DYNAMICS

Market dynamics include driving and restraining factors, opportunities and challenges stating the market conditions.

Driving Factors

Growth of E-commerce and Last-Mile Delivery to Expand the Market

A factor in the Truck Rental market growth is the Growth of E-commerce and Last-Mile Delivery. The growth of internet-based businesses has greatly created pressure on delivery systems to avail quick and varied forms of delivery. This directly translates into the higher demand for the rental trucks, particularly the small vans and box types that may be used to go around the urban areas to make final delivery. The pressure experienced by companies to deliver products efficiently and as fast as possible to consumers’ homes has made the rental services a steady demand for companies to fully utilise their capacities or as a backup during busy periods in a fiscal year. This trend will persist as e-commerce is still on an upward trend, thus enhancing the development of this market.

Fluctuations in Economic Activity and Business Cycles to Advance the Market

This market has a close relation to the overall health of the economy. Agnico increases the demand for rental facilities and trucks in such periods, as during economic development and expansion, various companies and corporations are likely to invest in transportation departments and expand their operations or undertake new projects related to transportation by utilising rented trucks for various purposes—to transport necessities, materials, and goods. On the other hand, during recession and business cycles, those organisations that face lowered revenues reduce capital investments and look for cheaper ways to achieve their goals; for example, instead of buying new trucks for transportation needs, they lease equipment. This predictability of the economy has its effect on the demand for trucks for rent but at the same time develops a constant base demand as business organisations need to rent out some trucks in order to be flexible and save costs during both expanding and contracting economic periods.

Restraining Factor

Risk and Cost of Operations to Pose Potential Impediments on this Market

One of the major threats confronting the Truck Rental Market share is the risk and cost of operations and maintenance that shapes profitability and confines growth. This includes several factors, namely, first of all, the initial costs associated with buying and maintaining a rich number of vehicles that can range from small vans to large and heavy trucks considerably weigh on the company’s balance sheet. Second, operating expenses are periodic expenses, including fuel, insurance, repairs and maintenance, or oil changes; relocation; tire changes; brake checks; among others, are fairly pricey and are variable with fuel cost usage and market trends, among others. The insurance costs, especially for commercial vehicles, can be very expensive because of the possibility of an accident and the ensuing litigation expenses.

Opportunity

Use of Technologies to Create Opportunity in this Market

One of the biggest opportunities that can be seen contributing to the expansion of this market is the ability of firms to incorporate the use of technologies in the running of the rental business. This includes a range of advancements, many of which are highly promising for increasing efficiency, improving the quality of service delivered to customers, and expanding the relevant market share. For example, utilisation of telematics and GPS tracking systems provides the rental companies with an opportunity to track and manage the available fleets, reduce theft incidences, and speed up response in emergency situations such as a breakdown or an accident on the highway. Companies’ websites and mobile applications help customers to book vehicles, track their upcoming rentals, or get assistance from the company’s support team online. 

Challenge

Increased Competition and Sensitivity to Price to Pose Potential Challenge for this Market

The greatest threat facing this market is increased competition and sensitivity to price in this market. This industry is competitive since it is flooded with many players ranging from large companies that have many branches across the country to new entrants that open only one or two centres in each area. This brings up the issue of market price wars, whereby several companies are involved in a race to butcher the price and engage in discount offers, which at times hurts the underlying profitability of the industry for new entrants. In addition, actual costs are made transparent through over-the-internet comparison, leaving customers in a position to compare various rates of the various renting companies, adding pressure on prices.

• Request a Free sample to learn more about this report

•  

TRUCK RENTAL MARKET REGIONAL INSIGHTS

• North America

North America, for instance, has a large and mature economy; it has a high consumerism level as well as structural development; these factors make it have a high influence on this market. Also, the vast network of roads and interstates enables the Americans to execute long-distance moves and commercial activities, which in turn creates a market for big trucks and long-term rentals. Further, there is increased adoption of technology in the region, placing online booking systems, mobile applications, and telematics into rental operations models that may be adopted in other regions. The population in the United States Truck Rental Market is also highly mobile because of job transfers and changes in lifestyles; this increases the demand for household moving services and rental trucks. 

• Europe

A more complex structure is observed in the European market because of differences in legislation, economy, environment, and cultural characteristics of each country. In addition to the underserved self-move market, the largest segment is still commercial transportation and logistics, which is tied to robust manufacturing and trade industries across many European countries. The regime of environmental policies of the European Union has put measures on emissions control and encouraged usage of AFV, affecting the electric and hybrid trucks for the need in the renting. Competition is particularly brought about by the fact that the market is composed of large international firms and small regional players. 

• Asia

Asia’s market for truck rental is growing at a fast rate, facilitated by increasing urbanisation, growth of many economies, and infrastructure development in many countries. The delivery of goods ordered online and the increased need for, especially, last-mile delivery due to the growth of e-commerce are two of the primary reasons that generate the demand for smaller vehicles, including trucks and vans required to navigate through the densely populated cities. The fluctuation in the rental market is also determined by the differing economic development of the countries involved. Developed countries such as Japan and South Korea have rather more developed rental markets as opposed to India and China, which are comparatively developing countries but are expanding rapidly.

KEY INDUSTRY PLAYERS

Key Industry Players Shaping the Market through Mega Fleets

Several mechanisms through which key industrial players exert a significant impact in this business have been identified. These full-service rentals with impressive size, numerous outlets, ‘mega fleets,’ and significant brand image influence the pricing policies, the range of services provided, and operational practices of numerous companies, including the small and independent ones. These technologies, including online bookings and telematics, frequently become adopted throughout the whole market as a result of their investments. They also help shape the market through networks with the truck maker, who offers them competitive terms of supply of vehicles and helps them determine aspects of the vehicle, such as its design and features. Besides, their messages in marketing and advertising influence the perception and expectation by consumers of their rental services. Some of the smaller regional players may actually compete with these large players, but their business strategies and products will be in line with what the big players initiate. 

List of Top Truck Rental Companies

• Advantage Car and Truck Rentals Ltd. (Ontario)
• Avis Budget Group Inc. (U.S.)
• Element Fleet Management Corp. (Canada)
• Enterprise Holdings Inc. (U.S.)
• Europcar Group UK Ltd. (U.K.)

KEY INDUSTRY DEVELOPMENTS

April 2024: Penske Truck Leasing introduced in April 2024 an AI platform, which is a first in this market. This platform is intended to change the way that fleets are being managed by providing real-time data of fleet productivity. This development shows that the complexity of operations in this business is constantly increasing, as well as the embodiment of such operations with the help of AI technologies.

REPORT COVERAGE

The study encompasses a comprehensive SWOT analysis and provides insights into future developments within the market. It examines various factors that contribute to the growth of the market, exploring a wide range of market categories and potential applications that may impact its trajectory in the coming years. The analysis takes into account both current trends and historical turning points, providing a holistic understanding of the market's components and identifying potential areas for growth.

The Truck Rental market is poised for a continued boom pushed by increasing health recognition, the growing popularity of plant-based diets, and innovation in product services. Despite challenges, which include confined uncooked fabric availability and better costs, the demand for gluten-unfastened and nutrient-dense alternatives supports marketplace expansion. Key industry players are advancing via technological upgrades and strategic marketplace growth, enhancing the supply and attraction of this device. As customer choices shift towards healthier and numerous meal options, this market is expected to thrive, with persistent innovation and a broader reputation fueling its destiny prospects.